Aayush Jindal
Ethereum price gained traction and climbed above $2,400. ETH is now showing bullish signs and might extend gains toward the $2,550 level.
- Ethereum is gaining bullish momentum above the $2,380 zone.
- The price is trading above $2,350 and the 100-hourly Simple Moving Average.
- There is a key bullish trend line forming with support at $2,400 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair might correct lower, but the bulls could be active near the $2,400 support zone.
Ethereum Price Gains Strength
Ethereum price remained strong above the $2,250 level. ETH started another increase like Bitcoin and was able to clear a few key hurdles near the $2,350 zone.
The price jumped above the $2,400 level and tested the $2,450 resistance. A high is formed near $2,449 and the price is now consolidating gains. It is trading above the 23.6% Fib retracement level of the recent surge from the $2,353 swing low to the $2,449 high.
Ethereum is also trading above $2,350 and the 100-hourly Simple Moving Average. Besides, there is a key bullish trend line forming with support at $2,400 on the hourly chart of ETH/USD. The trend line is close to the 50% Fib retracement level of the recent surge from the $2,353 swing low to the $2,449 high.
On the upside, the first major resistance is near the $2,450 level. The next major resistance is near $2,500, above which the price might rise and test the $2,550 resistance.
Source: ETHUSD on TradingView.com
If the bulls remain in action, they could even pump the price above the $2,620 resistance. In the stated case, the price could rise toward the $2,700 level.
Are Dips Limited In ETH?
If Ethereum fails to clear the $2,450 resistance, it could start a downside correction. Initial support on the downside is near the $2,425 level.
The next key support could be the $2,400 zone or the trend line. A clear move below the $2,400 support might send the price toward $2,375. The main support could be $2,350. Any more losses might send the price toward the $2,240 level.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Major Support Level – $2,375
Major Resistance Level – $2,450
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